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HomeMy WebLinkAboutStaff Report 5372City of Palo Alto (ID # 5372) City Council Staff Report Report Type: Consent Calendar Meeting Date: 12/8/2014 City of Palo Alto Page 1 Summary Title: Amendment to City Manager Employment Agreement Title: Approval of Amendment No. Four To Employment Agreement between the City of Palo Alto and City Manager James R. Keene, Jr., to Increase Annual Salary by 5 Percent, From $262,241 to $275,35 3 From: City Manager Lead Department: Human Resources Recommendation The Council Appointed Officer Committee recommends that the Council adopt Amendment Number Four to the employment contract of City Manager James R. Keene, Jr. to increase his annual salary by 5%, from $262,241 to $275,353 effective July 1, 2014. Discussion The Council Appointed Officer Committee recommends that Council amend City Manager James Keene’s employment contract to approve the following change: Increase the annual salary by 5% from $262,241 to $275,353 effective with the pay period including July 1, 2014. The recommendation is based on a merit increase for Mr. Keene’s performance in fiscal year 2014. The Committee recommends that no other changes to the contract be made. In addition, no other salary increases will apply, as the City Manager is not eligible to receive salary increases provided through the Management and Professional Compensation Plan. Resource Impact Sufficient funds are available in the City Managers FY 2015 budget for the additional cost. Environmental Review Approval of this amended employment agreement will not result in any environmental impacts. Attachments: 2014-12-02 (Agt) Amendment No Four to Keene Employment Agt (2) (DOCX) 8 1 AMENDMENT NO. FOUR TO EMPLOYMENT AGREEMENT BETWEEN THE CITY OF PALO ALTO AND JAMES R. KEENE, JR. This Amendment No. FOUR to EMPLOYMENT AGREEMENT BETWEEN THE CITY OF PALO ALTO AND JAMES R. KEENE, JR. (“Agreement”) is entered into on December 8, 2014 by and between the CITY OF PALO ALTO, a California chartered municipal corporation (“City”), and JAMES R. KEENE, JR. (“Manager”), an individual, located at 250 Hamilton Avenue 7th Floor, Palo Alto, CA. R E C I T A L S: WHEREAS, the original EMPLOYMENT AGREEMENT BETWEEN THE CITY OF PALO ALTO AND JAMES R. KEENE, JR., attached hereto and incorporated herein as Exhibit “A” was entered into between the parties for the services of City Manager on or about August 21, 2008; and WHEREAS, AMENDMENT NO. ONE to the Agreement, attached hereto and incorporated herein as Exhibit “B” was entered into between the parties on or about August 21, 2008; and WHEREAS, AMENDMENT NO. TWO to the Agreement, attached hereto and incorporated herein as Exhibit “C” was entered into between the parties on or about August 2, 2010; and WHEREAS, AMENDMENT NO. THREE to the Agreement, attached hereto and incorporated herein as Exhibit “D” was entered into between the parties on or about March 24, 2014; and WHEREAS, the parties wish to amend the Agreement; NOW, THEREFORE, in consideration of the covenants, terms, conditions, and provisions of this Amendment, the parties agree: SECTION 1: Section 3 of the Agreement, Compensation, is hereby amended to read as follows: 3. Compensation. Manager shall be compensated as provided in this Section 3. 3.1 Compensation. Commencing on and continuing from the Employment Start Date, Manager will receive an initial base annual salary of Two Hundred Forty Thousand and no/100 Dollars ($240,000.00), prorated and paid on City’s normal paydays. Commencing on and continuing from the pay period including July 1, 2013, Manager’s annual base salary shall be increased to Two Hundred Fifty Four Thousand Six Hundred Three and No/100 Dollars ($254,603), prorated and paid on the City’s normal paydays. Commencing on and continuing from the first pay period after the Council approves Amendment No. Three to this Agreement, 2 Manager’s annual base salary shall be increased to Two Hundred Sixty Two Thousand Two Hundred Forty One and No/100 Dollars ($262,241), prorated and paid on the City’s normal paydays. Commencing on and continuing from the pay period including July 1, 2014, Manager’s annual base salary shall be increased to Two Hundred Seventy Five Thousand Three Hundred Fifty-Three and No/100 Dollars ($275,353.00), prorated and paid on the City’s normal paydays. SECTION 2. Except as herein modified, all other provisions of the Contract, including any exhibits and subsequent amendments thereto, shall remain in full force and effect. IN WITNESS WHEREOF, the parties have by their duly authorized representatives executed this Amendment on the date first above written. ATTEST: _____________________________ City Clerk APPROVED AS TO FORM: _____________________________ City Attorney CITY OF PALO ALTO ___________________________ Nancy Shepherd Mayor Dated:______________________ MANAGER ___________________________ James R. Keene, Jr. Dated:______________________ Attachments: Exhibit A: EMPLOYMENT AGREEMENT BETWEEN THE CITY OF PALO ALTO AND JAMES R. KEENE, JR. Exhibit B: AMENDMENT NO. ONE TO EMPLOYMENT AGREEMENT BETWEEN THE CITY OF PALO ALTO AND JAMES R. KEENE, JR. Exhibit C: AMENDMENT NO. TWO TO EMPLOYMENT AGREEMENT BETWEEN THE CITY OF PALO ALTO AND JAMES R. KEENE, JR. Exhibit D: AMENDMENT NO. THREE TO EMPLOYMENT AGREEMENT BETWEEN THE CITY OF PALO ALTO AND JAMES R. KEENE, JR.